Talent Focus said the appointment adds “significant financial services expertise” as the company looks to expand its search-led recruitment offering.

Jones was handed a life ban by the Financial Services Authority (FSA) in July 2010 as well as a £320,000 fine for allowing the misreporting Northern Rock's mortgage arrears figures between January 2007 and February 2008.

The FSA had identified nearly 2,000 loans which had been excluded from the bank's arrears figures, which, if included, would have shown mortgage arrears of 0.68 per cent as opposed to the 0.42 per cent reported.

The FSA noted Northern Rock's reported arrears figures less than half the 0.89 per cent average reported by the Council of Mortgage Lenders (CML).

Jones was found to have misreported arrears and possessions figures on a monthly basis to the bank's assets and liabilities committee and on a quarterly basis to the CML.

An FSA decision notice on Jones, published in July 2010, states: “His conduct demonstrated a lack of integrity in this regard and he is therefore considered not fit and proper to perform any controlled functions in relation to any regulated activity carried on by any authorised person, exempt person or exempt professional firm."

Jones left Northern Rock in April 2010, more than a year after the bank had been nationalised, with his departure coming soon after that of deputy chief executive David Barker, who was also barred from working in FSA regulated companies and fined £504,000 for his role in misreporting the same mortgage arrears figures.

The FSA noted that although Jones was not involved in the actions that led to the arrears omissions, as finance director he had agreed not to reveal the situation after being informed by Baker.

When the FSA imposed the ban on Jones, he announced he would "pursue opportunities either in an advisory or full-time basis” as the FSA ban only covers roles which come under FSA regulation.

He said: "I accept that I did not ensure that information on residential arrears prepared and presented by others was corrected to include certain accounts known as 'pending possession cases'.

“However, I consider that the FSA's conclusions and imposed penalty are both unfair and disproportionate.

"I will now put this matter behind me and move on. I intend to pursue opportunities either in an advisory or full-time basis building on over 30 years' experience in finance."

A press release issued by Talent Focus announcing Jones' appointment, described him as having “played a major role in the restructuring” of Northern Rock.

Talent Focus director, Luke Rodwell, said: "We are delighted to welcome Dave to Talent Focus, where his network and knowledge gained as an executive in a FTSE 100 company will add real value to our clients.

“Despite the macro economical challenges companies continue to need high calibre managers, executives and non-executives so Dave will be an excellent addition to the business”.

Commenting on his new appointment, Jones said: “I am excited to be joining the team at Talent Focus and look forward to utilising my Board and executive experience to help new and existing clients secure and develop their executive talent.”